Freddie Mac has significantly increased its PITI reserve requirements as the number of financed properties has grown. This change directly affects investors across Florida markets, including Miami, Orlando, Tampa, and Jacksonville, where multi-property ownership is common. Understanding how these reserve requirements work is critical when structuring your next Florida home loan.

What Are PITI Reserves?

PITI stands for:

• Principal
• Interest
• Taxes
• Insurance

Reserves refer to the number of months of these expenses a borrower must have saved after closing.

For Florida investors, this is especially important due to:

• Higher insurance costs (especially for coastal properties)
• Property tax variations by county
• Investment property cash flow considerations

Freddie Mac Reserve Requirements by Property Count

Freddie Mac now uses a tiered reserve system based on the number of financed properties a borrower owns.

1–6 Financed Properties

If you own up to six financed properties.

• You must verify 2 months of PITI reserves per property

Example: Own 5 properties? You’ll need 10 months of total PITI reserves across your portfolio.

7–10 Financed Properties (Major Jump)

Once you cross into 7–10 financed properties, the guidelines become much stricter.

• 8 months of PITI reserves per property
• Minimum 720 FICO score required

Example: Own 8 properties? You now need 64 months of PITI reserves, a massive liquidity requirement.

Florida Home Loan Solutions

We specialize in helping investors with the financing they need to expand their real estate portfolio. We structure financing solutions designed to keep your momentum going.

• Buying your 2nd property
• Expanding to 5+ rentals
• Scaling beyond 10 financed properties

Connect with our team, and we’re sure to have a loan program for your property.